Latest update July 21st, 2026 1:09 AM
AFC not optimistic Chevron will be better partner than Hess in Stabroek Block
Chairman and spokesperson on oil and gas for the AFC David Patterson
Kaieteur News – The Alliance for Change (AFC) does not share the same optimism as Vice President (VP) Bharrat Jagdeo, that US energy corporation Chevron will be a better partner than Hess in the Stabroek Block.
At the party’s weekly press conference on Friday, this publication sought the party’s opinion on Jagdeo’s notion that the tension between Exxon and Chevron could be beneficial to Guyana.
Party chairman and spokesperson on oil and gas, David Patterson said Chevron is one of the top oil producing companies in the world and has a very good reputation. However, he does not believe that its entrance into Guyana will be helpful in checking Exxon’s billing and prosperity.
“One of the issues that we found up front was when Hess was there, we actually got more information on what Exxon was doing, because Hess was such a small company, and they had to ensure what they did, they would have to appease their shareholders,” he said.
Patterson explained that several pieces of information, including questions on the assets and information on future projects were derived from Hess’s public statement.
“So, I mean, obviously the time will tell if Chevron will be as forthcoming with information, but that just carries us back to what the concern is from the country, from the initial state, the lack of information, and lack of being shared by the government on this whole issue, we don’t know,” he added.
The AFC chairman stressed that currently Chevron’s position on the carbon credits purchased by Hess as well as several other issues like unlimited insurance coverage, liability coverage is unknown, therefore the only thing to do is “to wait and see.”
He said under the shareholder agreement with Hess and CNOOC, Exxon as the operator was given free reign and looking at the size of Chevron, it is not clear if that still holds.
On Thursday, Jagdeo declared he was confident that Chevron will look out for Guyana’s interest alongside Exxon as they extract the country’s oil from the Stabroek Block.
According to Jagdeo, Chevron can hold Exxon accountable, ultimately reducing inflated costs and maximising Guyana’s share from the oil.
He was asked to state the implications of Chevron entering the Stabroek Block following its arbitration win against ExxonMobil. Jagdeo told reporters attending his weekly press conference that there are no immediate implications noting that the government sees a change in the ownership of the shares. He reminded that Guyana has no jurisdiction in the arbitration matter.
“…having another US major that had a kind of well, tense relationship with Exxon… So, Chevron is one of the shareholders now in Guyana (and) will be having acquired Hess’s shares and Exxon on the other side being another major shareholder that tension between the two could serve our country better,” Jagdeo told reporters.
The VP reminded that outside of being a shareholder in the Stabroek Block, ExxonMobil is also the operator. As a result, he believes the other shareholder will be looking at the operation costs, making “sure that those costs are minimised, and focus on maximising output, because they as shareholders will be getting more money if that were to happen, the company is run more efficiently and if it’s run more efficiently it also maximises our take.”
Justifying this view, he said that if the Kaieteur News has a fear that costs have been inflated by the operator in what is currently being audited, Chevron would share the same concern, as it is now a shareholder and inflated costs by the operator will affect them as well.
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